Gender, Transnational Networks and Remittances: Evidence from Germany

27 Pages Posted: 22 May 2010 Last revised: 16 Jul 2010

See all articles by Elke Holst

Elke Holst

German Institute for Economic Research (DIW Berlin); German Institute for Economic Research (DIW Berlin) - German Socio Economic Panel

Andrea Schäfer

affiliation not provided to SSRN

Mechthild Schrooten

affiliation not provided to SSRN

Date Written: April 2010

Abstract

Remittances from Germany are substantial. Cross-border transfers to family and friendship networks outside Germany are not only made by foreigners. Many naturalized migrants send money home as well. Here, we focus on transnational networks and gender-specific determinants of remittances from the senders’ perspective, based on data from the German Socio-Economic Panel Study (SOEP) for the years 2001-2006. Our findings show, above all, that foreign women remit less than foreign men. Using information on the social network in the home country we find, first, that the social network abroad explains part of gender differences in remittance behavior. Second, employing gender interaction terms for the social network effects suggests that remittance behavior is affected by traditional gender roles. Third social integration into the destination country matters. Remittance decisions of naturalized migrants do not show the aforementioned gender effect.

Keywords: Remittances, Gender, Foreigners, Naturalized Migrants

JEL Classification: F24, J16, D13

Suggested Citation

Holst, Elke and Schäfer, Andrea and Schrooten, Mechthild, Gender, Transnational Networks and Remittances: Evidence from Germany (April 2010). SOEPpaper No. 296; DIW Berlin Discussion Paper No. 1005. Available at SSRN: https://ssrn.com/abstract=1611603 or http://dx.doi.org/10.2139/ssrn.1611603

Elke Holst (Contact Author)

German Institute for Economic Research (DIW Berlin) ( email )

Mohrenstraße 58
Berlin, 10117
Germany

German Institute for Economic Research (DIW Berlin) - German Socio Economic Panel ( email )

DIW Berlin
Berlin, Berlin 14191
Germany

Andrea Schäfer

affiliation not provided to SSRN ( email )

Mechthild Schrooten

affiliation not provided to SSRN ( email )

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